Just when Saab thought it had things figured out with its Chinese investors, GM comes crashing the party again.
"We have reviewed Saab's proposed changes regarding the sale of the company. Nothing in the proposal changes GM's position. We are unable to support the transaction," said GM's James Cain.
The contracts between Saab and GM are essential for the current survival of Saab and without these technology licenses, Saab is likely a far less valuable company. GM has stated previously that it won't allow any Saab deal that hurts its current standing in the Chinese market.
Saab is still in talks with Youngman and an unnamed Chinese bank and they seem to have lost Pang Da somewhere along the way.
In a text message to Reuters, Saab chief Executive Victor Muller said "There is always Plan B." But from what we've seen in the past few months, it doesn't appear that GM will allow any Chinese investor to purchase Saab if it means more competition in China. And that likely excludes all viable buyers. So what's plan E, Victor?
alphabetfuel says:
06:18 PM, 12/ 6/11
Die! (bang) Die! (bang bang) WHY WON'T YOU DIE!?!? (bang bang bang click click... . . .
billt9 says:
09:12 PM, 12/ 6/11
So what's left of Saab is just a design house, with no mechanical parts.
zr1man says:
10:21 PM, 12/ 6/11
I think I will have to side with GM on this one. I can completely understand why it won't allow a Saab deal that would hurt its current standing in the Chinese market. That's one big market. I trust in GM's strategic insight.
compressor says:
06:49 AM, 12/ 7/11
zr1man,
You are siding with GM on this? Pigs must be flying somewhere.
bonzjr says:
07:13 AM, 12/ 7/11
Maybe this is simply a way to prevent a Chinese company from getting access to US government-owned and developed technology.
duck87 says:
07:22 AM, 12/ 7/11
GM said it would not mind supplying engines and such to Saab; but they refuse to give 'em one of their new vehicles and any tech licenses applied, and you could see why. It looks like Saab's badge engineered vehicles are biting them again in another way.
jlcii says:
09:17 AM, 12/ 7/11
So GM shouldn't let Saab go to someone because they're afraid of them being successful?
And almost everyone on this comment page agrees with that?
I wonder who would agree if Porsche was being held back because they bring too much competition to Audi/Lamborghini...
angry_mushroom says:
09:28 AM, 12/ 7/11
It's like my parents kicked me out of the house, and now they won't let me get a job because I would put their life lessons to use. Granted GM doesn't exactly have a water powered car, so what's the big deal?
stovt001 says:
12:16 PM, 12/ 7/11
@jlcii - successful against GM in their #1 market, in a country not exactly concerned about intellectual property rights (or any rights, for that matter) using GM's own technology against them? Yeah, gotta say GM sounds reasonable on that concern.
I kinda like the idea of Saab as a design house. That could actually be interesting.
e90_m3 says:
02:28 PM, 12/ 7/11
@stovt,
Someone needs to remind GM who lent them the bailout money, and who provided them with the only bright spot in global auto sales during the dark days of 2008-2010. If China shuts out GM, they will go kaput in a New York minute....
... then again the Chinese government is never that fond of their domestic manufacturers going around buying failed auto companies (remember Hummer?), so maybe GM's merely doing China a favor.
camaro84 says:
03:50 PM, 12/ 7/11
The easiest and simplest solution... Saab needs to somehow convince Tata Motors to take them on. They would fit nicely with Range Rover, Jaguar etc. Seriously. Otherwise, I side with GM as well.